Oji Holdings Corporation Just Missed Earnings And Its Revenue Numbers Were Weaker Than Expected

Oji Holdings Corporation (TSE:3861) came out with its third-quarter results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Revenues came in 6.5% below expectations, at JP¥461b. Statutory earnings per share were relatively better off, with a per-share profit of JP¥51.31 being roughly in line with analyst estimates. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

View our latest analysis for Oji Holdings

Taking into account the latest results, the most recent consensus for Oji Holdings from six analysts is for revenues of JP¥2.00t in 2026. If met, it would imply a decent 12% increase on its revenue over the past 12 months. Per-share earnings are expected to accumulate 9.1% to JP¥66.74. Before this earnings report, the analysts had been forecasting revenues of JP¥2.00t and earnings per share (EPS) of JP¥67.68 in 2026. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

There were no changes to revenue or earnings estimates or the price target of JP¥638, suggesting that the company has met expectations in its recent result. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Oji Holdings analyst has a price target of JP¥700 per share, while the most pessimistic values it at JP¥600. This is a very narrow spread of estimates, implying either that Oji Holdings is an easy company to value, or - more likely - the analysts are relying heavily on some key assumptions.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Oji Holdings' past performance and to peers in the same industry. The analysts are definitely expecting Oji Holdings' growth to accelerate, with the forecast 9.3% annualised growth to the end of 2026 ranking favourably alongside historical growth of 5.3% per annum over the past five years. Other similar companies in the industry (with analyst coverage) are also forecast to grow their revenue at 11% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Oji Holdings is expected to grow at about the same rate as the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. We have forecasts for Oji Holdings going out to 2027, and you can see them free on our platform here.

Even so, be aware that Oji Holdings is showing 2 warning signs in our investment analysis , and 1 of those can't be ignored...

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.